Commercial

What is considered a commercial tax appeal

If you own or manage commercial property, operate a business, or represent a business taxpayer, you may be able to appeal certain tax decisions to the Washington State Board of Tax Appeals.

The Board of Tax Appeals reviews tax decisions from County Boards of Equalization and the Washington State Department of Revenue. The Board provides an independent forum for taxpayers and taxing authorities to resolve tax appeals.

What types of commercial appeals does the Board hear?

Commercial taxpayers may file different types of appeals, depending on the tax issue and the agency that made the decision.

Common commercial appeals include:

  • Commercial property value appeals
  • Property tax exemption appeals
  • Open space, timberland, or forest land appeals
  • Direct property value appeals
  • Excise tax appeals, including retail sales tax, use tax, and business and occupation tax
  • Appeals from Department of Revenue determinations
  • Appeals from procedural dismissals or denials

Commercial property value appeals

You may file a commercial property value appeal if you disagree with a decision about the assessed value of your commercial property.

Most property value appeals come to the Board after a County Board of Equalization has issued a decision. In a property value appeal, the Board decides whether the assessed value represents the property’s fair market value.

Fair market value generally means the price a willing buyer would pay a willing seller in a normal sale.

Commercial property appeals may involve many types of property, such as:

  • Retail buildings
  • Office buildings
  • Industrial property
  • Multifamily property
  • Mixed-use property
  • Vacant commercial land
  • Special-use property

Excise tax appeals

Businesses may also appeal some excise tax decisions from the Department of Revenue.

Excise taxes include taxes administered by the Department of Revenue, such as:

  • Retail sales tax
  • Use tax
  • Business and occupation tax
  • Other similar state-administered taxes

Before filing an excise tax appeal with the Board, you must complete the Department of Revenue’s administrative review process. If you have not completed that process, you may need to start with the Department of Revenue first.

Before you file

Before filing with the Board, make sure you have a decision the Board can review.

For many commercial property tax appeals, you need a decision from a County Board of Equalization.

For many excise tax appeals, you need a determination from the Department of Revenue after completing the Department’s administrative review process.

Check your deadline

Check your deadline as soon as you receive the decision you want to appeal.

Most appeals must be filed within 30 days from the mailing date of the decision or determination you are appealing. Some appeal types may have different deadlines.

The Board cannot extend the deadline or accept a late appeal.

Choose informal or formal appeal

You may file many appeals as either informal or formal.

Informal appeal

An informal appeal is usually simpler and has fewer procedural requirements.

Note: An informal appeal cannot be appealed to Superior Court. 

Download the form in either PDF or Word and get started:

 Informal Property Tax Appeal Form (.pdf)  

 Informal Property Tax Appeal Form (.docx)

Formal appeal

A formal appeal follows a more formal process. Commercial taxpayers may choose the formal process when the appeal may involve:

  • Discovery
  • Large or complex records
  • A protective order
  • Legal motions
  • A ruling on a legal issue
  • Representation by an attorney or tax professional

A formal decision may be appealed to Superior Court. Taxes must be paid before court review.

How to file

To start an appeal, send the Board of Tax Appeals:

  1. A completed Notice of Appeal
  2. A copy of the decision you are appealing
  3. Any other information or documents required by the form instructions

Use the form that matches your type of appeal.

Appeal forms are available on the Forms and Publications page.

If a property management company authorizes a tax professional to represent a client before the Board, the filing must also include authorization from the property owner.

What happens after you file

If your filing is complete and on time, the Board will send an acknowledgment letter.

The acknowledgment letter will include:

  • Your docket number
  • A prehearing order
  • Deadlines for submitting evidence and other documents

Use your docket number on anything you send to the Board after your appeal is acknowledged.

Read the prehearing order carefully. You must follow the deadlines in the order. Late evidence may not be accepted.

Prepare your evidence

Your evidence should support the value, exemption, tax issue, or other claim you are asking the Board to review.

For commercial property value appeals, useful evidence may include:

  • Comparable sales
  • An appraisal
  • Income and expense information
  • Lease information
  • Vacancy information
  • Capitalization rate support
  • Cost information for new construction
  • Photos, maps, or site information
  • Repair estimates or condition information
  • Documents showing development limits, access issues, zoning restrictions, or other property constraints

Your evidence should explain how the information supports your opinion of value.

Organize your documents

Commercial appeals often include many documents. Organize your evidence so the Board and the other party can understand it.

Before you submit evidence:

  • Group documents by issue or argument
  • Label each document
  • Number each page
  • Include summaries or explanations where helpful
  • Identify the specific evidence you want the Board to consider
  • Send the other party the same evidence you send to the Board

If you submit a large amount of raw or disorganized information, the Board may not be able to consider it effectively.

Continue paying taxes when due

You should continue paying taxes when they are due, even while your appeal is pending.

Paying on time helps avoid interest and penalties. If the Board’s decision lowers the amount owed, you may be entitled to a refund or credit from the appropriate county or agency.

Helpful resources

You may also want to review: